Last week I attended ALK’s annual Technology Summit in Princeton, NJ. Cadec was one of many industry leading sponsors the event. The standing room only crowd (120+) of technology vendors, fleet managers, press and industry experts gathered for what ALK calls its Thought Leadership Summit to share various trends and observations in the areas of transportation safety and efficiency in the trucking industry. While there was an obvious focus on navigation systems, the sessions also covered a wide variety of industry trends and other technologies.
An interesting, yet sobering keynote address by US Express’ President John White showed the concerning state of the for-hire trucking industry, particularly the large TL carriers, as a result of the economic slowdown. White also shared insights on a number of hot industry topics, including Card Check, HOS Regulations and EOBR Mandates.
Mr. White also shared his success using routing software in a presentation with TMW Systems, highlighting how they can compare planned to actual trip data to gain efficiencies.
The use of handheld computers was also a common topic, both to run turn-by-turn navigation software and proof of delivery applications.
Another observation was that most of the fleet attendees were in the for hire markets. While we are seeing significant growth in interest for turn-by-turn navigation among private fleets, and more stability in their financial situations, there were very few of these companies represented at the Summit.
In all, this was an interesting event that will likely increase in size next year as the use of navigation systems in trucking increases, particularly when integrated with on-board computers and fleet management software. I would recommend marking your calendar for this next year.
Author: Frank Moreno
Monday, April 27, 2009
Monday, April 20, 2009
The ROI from Transportation Business Intelligence
It’s amazing how business expenditures are allocated in a down economy. Value and ROI are no longer the driving forces behind capital expenditures. Price is now the primary influence in many purchases, particularly in transportation technology. Additionally, unbudgeted expenditures are basically non-existent – regardless of the price or the payback.
However, those companies that are confident that conditions will soon change and are visionary in their business objectives are now seeing tremendous success. One area where supply chain executives and transportation decision makers are now investing in is Business Intelligence for their transportation operations.
While traditional fleet management systems have focused on the performance of mobile assets (the truck and driver), today’s advanced applications are now interpreting that data into actionable business information across the supply chain. At-a glance-views of business trends, customer impact and business unit performance provide users with the ability to manage by exception and greatly improve visibility across the entire mobile supply chain. But how does the value of providing better service to customers and the value of people making better decisions faster translate into ROI? Can optimizing business processes within transportation and delivery operations yield a tangible ROI?
Transportation Business Intelligence offers a dramatic ROI. Businesses can make better, quicker decisions through facts-based analysis. It's not just about getting the right information to the right people at the right time, he said, but determining that the information is in fact being used to make better decisions. An informed transportation executive can leverage a business intelligence dashboard to identify an event or trend, drill down into detail, determine the root cause for that event, and quickly implement a change that can drive new sales, avoid costs, etc. Essentially, executives can now get the information they need to manage their business, and the ROI is seen across the supply chain in drastically reduced costs (labor, fuel, maintenance, etc.), increased revenues and improved cash flow. Additionally, BI users are defining new performance metrics for their transportation operations that can provide new levels of operational efficiency (route optimization, on-site invoicing, inventory management, etc.)
The most significant ROI of implementing Supply Chain visibility and transportation business intelligence tools, is the competitive advantage for businesses that are optimized to thrive immediately when the economy begins to improve. While competitors will be buried in useless data and reports, dashboard users get faster access to real-time data so they can get straight to the problem right away, manage their business better, and respond to changes in the market better.
Author: Frank Moreno
However, those companies that are confident that conditions will soon change and are visionary in their business objectives are now seeing tremendous success. One area where supply chain executives and transportation decision makers are now investing in is Business Intelligence for their transportation operations.
While traditional fleet management systems have focused on the performance of mobile assets (the truck and driver), today’s advanced applications are now interpreting that data into actionable business information across the supply chain. At-a glance-views of business trends, customer impact and business unit performance provide users with the ability to manage by exception and greatly improve visibility across the entire mobile supply chain. But how does the value of providing better service to customers and the value of people making better decisions faster translate into ROI? Can optimizing business processes within transportation and delivery operations yield a tangible ROI?
Transportation Business Intelligence offers a dramatic ROI. Businesses can make better, quicker decisions through facts-based analysis. It's not just about getting the right information to the right people at the right time, he said, but determining that the information is in fact being used to make better decisions. An informed transportation executive can leverage a business intelligence dashboard to identify an event or trend, drill down into detail, determine the root cause for that event, and quickly implement a change that can drive new sales, avoid costs, etc. Essentially, executives can now get the information they need to manage their business, and the ROI is seen across the supply chain in drastically reduced costs (labor, fuel, maintenance, etc.), increased revenues and improved cash flow. Additionally, BI users are defining new performance metrics for their transportation operations that can provide new levels of operational efficiency (route optimization, on-site invoicing, inventory management, etc.)
The most significant ROI of implementing Supply Chain visibility and transportation business intelligence tools, is the competitive advantage for businesses that are optimized to thrive immediately when the economy begins to improve. While competitors will be buried in useless data and reports, dashboard users get faster access to real-time data so they can get straight to the problem right away, manage their business better, and respond to changes in the market better.
Author: Frank Moreno
Monday, April 6, 2009
Cadec Highlights Momentum at Annual User's Conference
After a bit of a hiatus, the Cadec blog is alive and well. Last week Cadec sponsored its annual User’s Conference in Boston, MA. With over 100 attendees present, customers invested two full days in training classes, conference presentations, PowerVue product demonstrations and breakouts including keynote presentations from Aberdeen Group’s Brad Wyland and Blue Sky Technologies President Steve Hensley. The partner pavilion included many conference sponsors – Syntelic Solutions, Motorola, Honeywell, MultiTech, ALK, Telapoint and Velociti.
Customer presentations were the highlight of the event, with Poland Springs sharing how their idle reduction initiatives have saved them thousands of dollars in fuel expenses; Greyhound Lines, Inc. discussing their fleet management and safety investments and BRT, Inc. reviewing how they have customized and integrated Cadec with other fleet-related systems.
Despite the economic conditions, many customers expressed their intent to continue to invest in technologies that can optimize their visibility across their supply chain, to make better business decisions.
Immediately following the conference, Cadec publicly announced their additional funding from Thule Investments. As the fiscal Q1 came to a close, Cadec is riding tremendous momentum into Q2 2009 with new customers, new partnerships and new product offerings.
Author: Frank Moreno
Customer presentations were the highlight of the event, with Poland Springs sharing how their idle reduction initiatives have saved them thousands of dollars in fuel expenses; Greyhound Lines, Inc. discussing their fleet management and safety investments and BRT, Inc. reviewing how they have customized and integrated Cadec with other fleet-related systems.
Despite the economic conditions, many customers expressed their intent to continue to invest in technologies that can optimize their visibility across their supply chain, to make better business decisions.
Immediately following the conference, Cadec publicly announced their additional funding from Thule Investments. As the fiscal Q1 came to a close, Cadec is riding tremendous momentum into Q2 2009 with new customers, new partnerships and new product offerings.
Author: Frank Moreno
Friday, August 15, 2008
A New Perspective
(The following entry is contributed by Scott MacDougall, Sales Engineer at Cadec.)
Having been with Cadec for over 14 years in the capacity of either field engineer or customer support I have had the opportunity to work with our customers extensively to improve their understanding our products. Earlier this year I took a position as Sales Engineer. My responsibilities now are to travel with the sales team on their appointments to demonstrate the products we have, answer technical questions and assist with showing the customers how Cadec will increase their efficiency and decrease their costs.
This new role has opened my eyes to some interesting points with regards to the Cadec systems:
Our product is a great driver coaching product. From the Driver’s Available Hours report to our patented ETOG application, data showing stops, delays, routing, vehicle data, account information and a drivers habits can all be reviewed to measure driver behavior. With over 90 build in reports you can assist your drivers in meeting company standards for idling, RPM, speeding and route standards. From my previous experience I had known this and worked with customers with analyzing data, but the value is much more obvious now as I work with potential customers who have nothing in their vehicles to collect data. These companies are going to see a fast and overwhelming increase in driver efficiency and vehicle performance with Cadec installed.
Sharing driver, vehicle and delivery data across the supply chain. With our canned reports you can find out almost anything about a driver, trip, account and vehicle information. While I was in customer support I would always be helping customers understand reports and increase performance. Now, I see where the detailed information gathered can be exported and interfaced with other systems. The data can be used for payroll, routing, account servicing and many other aspects, not only improving automation but increasing the visibility into delivery operations and performance.
Going legal. Some people think they cannot realize a profit by adhering to the DOT rules. NOW is the time to start closing that gap instead of waiting for a mandate that OBCs will be required. The first step is gathering data. Without any system installed a company has little understanding of how their drivers, vehicles and routes are working. With an installed system there is clear, concise data to make decisions and improvements. I remember installing a system for a customer. On my follow-up call reviewing driver activity reports with them we found a driver who was on an on-duty delay every Tuesday at 11:00 AM for an hour. Asking the driver about this he told us the dock was closed from 11:00 AM – Noon. He never told anyone and was making money while reading the paper. Most drivers are not out to take advantage of their companies, but if you add up all these small indiscretions, you are starting to close the gap. What is the cost of a driver, vehicle and an hour of idling? (Oh, don’t forget to multiply times 52 for this one example…)
Driver coaching, interfacing data and closing the gap. Since moving from post sales, to presales I have been able to recognize additional cost savings and company improvements you can have in time, fuel, increased driver retention and cheaper vehicle maintenance costs to name a few by leveraging the Cadec fleet management system.
Having been with Cadec for over 14 years in the capacity of either field engineer or customer support I have had the opportunity to work with our customers extensively to improve their understanding our products. Earlier this year I took a position as Sales Engineer. My responsibilities now are to travel with the sales team on their appointments to demonstrate the products we have, answer technical questions and assist with showing the customers how Cadec will increase their efficiency and decrease their costs.
This new role has opened my eyes to some interesting points with regards to the Cadec systems:
Our product is a great driver coaching product. From the Driver’s Available Hours report to our patented ETOG application, data showing stops, delays, routing, vehicle data, account information and a drivers habits can all be reviewed to measure driver behavior. With over 90 build in reports you can assist your drivers in meeting company standards for idling, RPM, speeding and route standards. From my previous experience I had known this and worked with customers with analyzing data, but the value is much more obvious now as I work with potential customers who have nothing in their vehicles to collect data. These companies are going to see a fast and overwhelming increase in driver efficiency and vehicle performance with Cadec installed.
Sharing driver, vehicle and delivery data across the supply chain. With our canned reports you can find out almost anything about a driver, trip, account and vehicle information. While I was in customer support I would always be helping customers understand reports and increase performance. Now, I see where the detailed information gathered can be exported and interfaced with other systems. The data can be used for payroll, routing, account servicing and many other aspects, not only improving automation but increasing the visibility into delivery operations and performance.
Going legal. Some people think they cannot realize a profit by adhering to the DOT rules. NOW is the time to start closing that gap instead of waiting for a mandate that OBCs will be required. The first step is gathering data. Without any system installed a company has little understanding of how their drivers, vehicles and routes are working. With an installed system there is clear, concise data to make decisions and improvements. I remember installing a system for a customer. On my follow-up call reviewing driver activity reports with them we found a driver who was on an on-duty delay every Tuesday at 11:00 AM for an hour. Asking the driver about this he told us the dock was closed from 11:00 AM – Noon. He never told anyone and was making money while reading the paper. Most drivers are not out to take advantage of their companies, but if you add up all these small indiscretions, you are starting to close the gap. What is the cost of a driver, vehicle and an hour of idling? (Oh, don’t forget to multiply times 52 for this one example…)
Driver coaching, interfacing data and closing the gap. Since moving from post sales, to presales I have been able to recognize additional cost savings and company improvements you can have in time, fuel, increased driver retention and cheaper vehicle maintenance costs to name a few by leveraging the Cadec fleet management system.
Wednesday, July 30, 2008
Trucking companies save millions in fuel costs
Trucking companies can take steps to save money on fuel by focusing on their drivers. Fleet Owner Magazine and Truckload Carriers Association are hosting a webinar next week on this very topic entitled: Strategies and technologies for coping with the high cost of fuel.
The concept is not new, but is gaining a lot more attention this year due to the high cost of fuel in the US. By measuring and then altering driver behavior, trucking companies can dramatically reduce their fuel consumption. In the past, these tactics were used in an effort to improve safety, identify & retain strong drivers and increase customer service. Measurements were commonly focused on speeding incidents, rapid decelerations, unknown stops and on-time arrivals. Today’s measurements are now more focused on idle time, MPG and out of route miles.
“Through monitoring with Cadec, we were able to increase MPGs by a half-mile per gallon, saving $500,000 in fuel in the first year alone.” Northwest Food Products Transportation
"Engine idling once averaged 40% of the time engines were turned on but has dropped to 3%. Speeding events averaged about 16,000 per month but now have fallen to 200 per month.” Nicholas & Co.
“Monitoring drivers through Cadec and associated remedial training can help us save $750,000 in one year.” Morning Star
“Poland Spring achieved a 41 percent reduction in idle time and will save about $21,000 in fuel in 2008 with Cadec.” Poland Spring
“Our savings will be close to $300,000 per year. Cadec will be the key to reducing our transportation costs while improving service to our customers.” G&C Foods
Driver scorecards and key performance indicator dashboards are now a critical component of fleet management systems to gain executive-level visibility into transportation operations. For more information, check out these useful links:
www.cadec.com/resources
www.blueskytech.com
The concept is not new, but is gaining a lot more attention this year due to the high cost of fuel in the US. By measuring and then altering driver behavior, trucking companies can dramatically reduce their fuel consumption. In the past, these tactics were used in an effort to improve safety, identify & retain strong drivers and increase customer service. Measurements were commonly focused on speeding incidents, rapid decelerations, unknown stops and on-time arrivals. Today’s measurements are now more focused on idle time, MPG and out of route miles.
“Through monitoring with Cadec, we were able to increase MPGs by a half-mile per gallon, saving $500,000 in fuel in the first year alone.” Northwest Food Products Transportation
"Engine idling once averaged 40% of the time engines were turned on but has dropped to 3%. Speeding events averaged about 16,000 per month but now have fallen to 200 per month.” Nicholas & Co.
“Monitoring drivers through Cadec and associated remedial training can help us save $750,000 in one year.” Morning Star
“Poland Spring achieved a 41 percent reduction in idle time and will save about $21,000 in fuel in 2008 with Cadec.” Poland Spring
“Our savings will be close to $300,000 per year. Cadec will be the key to reducing our transportation costs while improving service to our customers.” G&C Foods
Driver scorecards and key performance indicator dashboards are now a critical component of fleet management systems to gain executive-level visibility into transportation operations. For more information, check out these useful links:
www.cadec.com/resources
www.blueskytech.com
Wednesday, July 16, 2008
Smart in the Office/Smart in the Truck – Doing more to perfect data collection and positively impact performance through in cab technology
While a few system providers have offered onboard fleet management tools for several years that include computing power, memory, touchscreens, and even a database in the cab of the truck, there has certainly been an uptick recently of more vendors joining that club. Clearly the industry sees benefit in doing more on board. There is no shortage of good reasons for this.
Customers have discussed with me an array of results they will achieve by leveraging technology in the cab, and even beyond the cab with handheld devices, sensors, etc. Eliminating paperwork not only makes life easier for the driver and for administrative personnel…it also drives accuracy. Reduced errors mean better customer service and a direct path to better results at the bottom line.
Efficiency increases by accurately capturing and communicating in a timely and actionable way the events that occur in the field. One industry veteran told me that, “the best data is data captured as close as possible to the point at which it happens.” With the right onboard tool, the quantity and quality of actionable data improves. No averages…no gaps. The beauty of the newer technology on board is not only the capture of this information, often in an automated or minimal keystroke way, but also the ability to manage the communication of that data so that it gets to the right place at the right time….IN A WAY THAT MAKES FINANCIAL SENSE.
Sorry to yell there, but it is an important point. Recognizing the value of doing more on board is one thing. Pulling it off in a cost effective manner is something else. This is where the focus comes off of the onboard device, and on to the applications and overall system architecture. Without this part being right, the value of the onboard device cannot be optimized.
A powerful onboard computer whose cost to use is unaffordable does not get the desired result. Think about the possibilities…..handheld POD….temperature, tire pressure, weight, rollover sensor and other monitoring…..cameras….fatigue detection….onboard navigation…driver entertainment and training! The capabilities and their potential impact are remarkable. Happier, retained, safer drivers…attracted from the younger pool of people in the workplace is an example. This technology migration is a meaningful, positive trend for the industry which, when done right, creates a big win for everyone in the supply chain, as a friend in the food distribution industry puts it….from “farm-to-fork.”
Customers have discussed with me an array of results they will achieve by leveraging technology in the cab, and even beyond the cab with handheld devices, sensors, etc. Eliminating paperwork not only makes life easier for the driver and for administrative personnel…it also drives accuracy. Reduced errors mean better customer service and a direct path to better results at the bottom line.
Efficiency increases by accurately capturing and communicating in a timely and actionable way the events that occur in the field. One industry veteran told me that, “the best data is data captured as close as possible to the point at which it happens.” With the right onboard tool, the quantity and quality of actionable data improves. No averages…no gaps. The beauty of the newer technology on board is not only the capture of this information, often in an automated or minimal keystroke way, but also the ability to manage the communication of that data so that it gets to the right place at the right time….IN A WAY THAT MAKES FINANCIAL SENSE.
Sorry to yell there, but it is an important point. Recognizing the value of doing more on board is one thing. Pulling it off in a cost effective manner is something else. This is where the focus comes off of the onboard device, and on to the applications and overall system architecture. Without this part being right, the value of the onboard device cannot be optimized.
A powerful onboard computer whose cost to use is unaffordable does not get the desired result. Think about the possibilities…..handheld POD….temperature, tire pressure, weight, rollover sensor and other monitoring…..cameras….fatigue detection….onboard navigation…driver entertainment and training! The capabilities and their potential impact are remarkable. Happier, retained, safer drivers…attracted from the younger pool of people in the workplace is an example. This technology migration is a meaningful, positive trend for the industry which, when done right, creates a big win for everyone in the supply chain, as a friend in the food distribution industry puts it….from “farm-to-fork.”
Tuesday, July 15, 2008
Driver Scorecards Help Manage Employees
In a recent “Trucks at Work” blog posting, Sean Kilcarr discussed Dealing with the Bad – highlighting different methods and techniques for dealing with bad employees. See his post here.
Another method for dealing with bad drivers in the trucking industry that is growing more common is driver score cards. Many private fleets have adopted this practice to help their safety initiatives, fuel conservation, incentive-based pay and driver retention. Scorecards are a very powerful means of behavior modification. There are some businesses that post their driver scorecards every week in their driver's break room for all to see. The exposure gives credit to the strong drivers, and puts pressure on those that need improvement (peer pressure and management pressure). Driver scorecards and KPI (key performance indicator) dashboards are available as stand-alone products, as part of consulting services and in some fleet management solutions.
Information on Cadec’s GYR Driver Scorecard can be found at http://www.cadec.com/solutions/fleetSafety.php#anchorOne
You can also check out how some companies are using the Cadec Driver Scorecard in the Resource section at www.cadec.com.
Author: Frank Moreno
Another method for dealing with bad drivers in the trucking industry that is growing more common is driver score cards. Many private fleets have adopted this practice to help their safety initiatives, fuel conservation, incentive-based pay and driver retention. Scorecards are a very powerful means of behavior modification. There are some businesses that post their driver scorecards every week in their driver's break room for all to see. The exposure gives credit to the strong drivers, and puts pressure on those that need improvement (peer pressure and management pressure). Driver scorecards and KPI (key performance indicator) dashboards are available as stand-alone products, as part of consulting services and in some fleet management solutions.
Information on Cadec’s GYR Driver Scorecard can be found at http://www.cadec.com/solutions/fleetSafety.php#anchorOne
You can also check out how some companies are using the Cadec Driver Scorecard in the Resource section at www.cadec.com.
Author: Frank Moreno
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